Hyperscale Data sells 100 bitcoins to fund Michigan's $1.2 billion AI park

Hyperscale Data sells 100 bitcoins to fund Michigan's $1.2 billion AI campus

Hyperscale Data, a technology company listed on the U.S. section of the New York Stock Exchange (ticker symbol GPU), has adjusted its Bitcoin library management strategy to support the rapid expansion of Michigan's artificial intelligence data center campus. The company announced it had sold about 100 bitcoins and established a credit line backed by bitcoins, reflecting its greater focus on using digital asset reserves for capital projects.

Bitcoin unlocks funds for AI infrastructure

Through these recent initiatives, Hyperscale Data not only cashed out some of its Bitcoin positions to seek potential value added, but also used them directly as a source of funds for developing Michigan's AI parks and purchasing critical equipment. The company's strategy includes creating a line of credit backed by Bitcoin, with an estimated interest cost of between 4.5% and 5%.

Executive Chairman Milton "Todd" Ault III said the company relies on its Bitcoin positions gained through mining and treasury management (with an initial valuation of approximately US$71 million) for strategic investments. The new approach aims to reduce reliance on additional stock issues, thereby limiting shareholder dilution and improving the company's financial flexibility.

This approach is expected to increase financial flexibility and allow companies to make large-scale investments in AI infrastructure while maintaining meaningful exposure to Bitcoin.

Funds from the sale of Bitcoin and a credit line will help Hyperscale Data fulfill a master service agreement with a top AI infrastructure customer who requires significant computing resources.

Michigan AI Park Project Details

Michigan Data Center is one of Hyperscale Data's largest capital projects. Under the initial master services agreement, the facility will support 20 megawatts (MW) of AI computing capacity over a ten-year base period, with two optional five-year renewal periods. If fully implemented, the total contract value will exceed US$1.2 billion during the contract period.

If the customer exercises and maintains the expansion option within two years prior to the contract, computing capacity can be added by another 32 MW and potential total revenue will reach up to US$3 billion.

Basic contract: AI computing capacity of 20 MW, total revenue potential of US$1.2 billion, contract period of 10 years (basic)+ 2 5-year options. If expansion options are included: AI computing capacity of 52 MW, total revenue potential of US$3 billion, and a contract period of up to 20 years (if renewed).

The company's strategy of using Bitcoin to expand its business emphasizes its commitment to using digital assets derived from mining directly as a source of investment rather than passive reserves.

Financial performance and revenue sources

Recent financial data supports the decision to use Bitcoin for infrastructure investments. In April this year, Hyperscale Data reported preliminary revenue for the first quarter of 2026 of between $43 million and $45 million, a year-on-year increase of 72% to 80%.

Management attributed the significant increase in revenue to two main factors: Gresham Worldwide contributed US$10 million in revenue after bankruptcy reorganization, and US$10 million in high-profit revenue from Ault Lending.

William B., CEO Horne emphasized the importance of diversified revenue sources and forward-looking investments: "Our diversified revenue sources provide us with a strong financial foundation while allowing us to continue to invest in AI infrastructure."

Hyperscale Data's evolving treasury policies are consistent with broader industry trends among digital asset companies that are increasingly using cryptocurrencies to support business operations and growth. This adaptive strategy allows the company to not just hold Bitcoin for appreciation, but actively convert it into productive assets to expand in the AI space.

Looking ahead, investors are expected to pay close attention to the progress of Michigan's data center construction, the implementation of a billion-dollar AI service agreement, and the effectiveness of using Bitcoin funds to generate new revenue.